Mortgaging Jamaica’s Policy Space: Structural Adjustment Policies and Shiprider Agreement

Abstract

The goal of this thesis is to prepare a public policy framework on Jamaica’s sovereignty aspirations in different economic and political spheres like domestic affairs, defence, trade and international relations. Despite being a member of sovereign entities like the Caribbean Community (CARICOM) and the Non Aligned Movement (NAM), Jamaica cannot fully assert its own against foreign influences in its internal affairs and external relations. It should be pointed out here that Jamaica throughout its history could not build enough national consensus in asserting total independence from others which has led to the present scenario where outside actors can no longer be wished away. This paper aims to explain that despite the undeniable presence of external agencies, it’s entirely possible for a country the size and importance of Jamaica to retain control over its domestic institutions by strengthening them from inside. Using appropriate theories and case studies, it is shown here that if it can muster enough political will, Jamaica does have the capability and resources needed to achieve desired sovereignty for its political and economic aims. The rules of engagement in a globalised economy should be an excuse to undermine the responsibilities a government has towards its own people.

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Introduction

Overview

This chapter presents a detailed description of our thesis subject – Jamaica’s public institutions are facing constant interference from outside agencies, an issue which is seen as1 the leading cause of a number of interrelated problems e.g. rising external debt, foreign interference in domestic affairs, lack of funding for social development projects2 and other miscellaneous issues3. These issues are of fundamental importance to Jamaica’s electorate and form the core criteria in judging the government’s political credibility (Ryan, 2006). In order to fully illustrate the subject theme, the author has contextualised a background picture of issues which directly relate to Jamaica’s sovereignty and its future policy directions4.

Hypothesis and Assumptions

In keeping with the stated objective of developing a public policy framework which will allow Jamaica to pursue its sovereignty on internal and external affairs, the following hypothesis has been framed for testing and validation: externally-dictated public policies undermine political credibility in any nation’s pursuit of sovereignty over its own affairs. A corollary to the hypothesis is: when public policies are externally-driven, their baneful effect can be minimised using actual control by local forces5. This means local institutions have to be made resilient enough to withstand the onslaught of external agencies. The task of implementing these local forces can be considered on the merit of the following assumptions which will be further validated in this thesis.

Assumption 1: The case studies of Jamaica’s tryst with Structural Adjustment Policies (SAPs) in the late 70’s to mid 90’s and Shiprider Agreement (SRA) with the United States in 1997 offer evidence for the hypothesis that local institutions if strengthened properly, can override the influence of external agencies. These two ideas form the core component of our case studies in this thesis.

Assumption 2: Already given Jamaica’s unique situation which precludes any absolute freedom from external agencies, it should be understood that sovereign nations are now increasingly susceptible to relinquish sovereignty in the wake of forces of globalisation. To what extent should such a nation surrender its sovereignty will allow better evaluation of results for thesis hypothesis.

Background to the problem

In a country where the majority of the population is not fluent in reading and writing and even college students have to take remedial English classes (Brown, 2008), Jamaica needs to undergo institution-level transformation in several areas if it wants to be taken seriously in international diplomatic circles. This calls for a major overhaul in administrative set-up and governance as a fundamental departure from past structures which undermine any serious efforts for change (Atkins, 2007; Mona School of Business 2001). The process of “strengthening” domestic institutions which lead to a nation’s sovereignty takes a lot more than rhetoric about bringing change (Lewis, 2006; Lall, Spatafora, Sommer, Johnson, Subhramanian, Levchenko & Robinson, 2005). The following issues have been identified for the purpose of the present research6.

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Colonial dependence

Jamaica’s 300-year long experiecne with colonial rule encompassing slavery, plantation societies and other forms of foreign dependence have led to present-day tendencies towards rigidity in bureaucratic and political structures which is further compounded by excessive centralization, poor representation and participation in constitutional politics and a parent-child relationship between the governors and those being governed (Lewis, 2006). This phenomenon is also known as “mirrored imperialism” (Lewis, 2006; Kaufmann & Kray, 2005).

The remnants of colonial structure in the past can still be seen in Jamaica’s unique political situation which continues to follow institutional practices set up by Great Britain and extends them into every sphere of public life (Rose, 2002). Transnational corporations (TNCs) and technical bureaucracies (ITBs) form an integral part of Jamaica’s unique mechanism which facilitates interference from external agencies.

Economy woes

At present, Jamaica is facing some serious economic problems due to negative growth rate, rising external debts, reduced labor productivity, moderately-high inflation, declining currency rates and huge unemployment figures (CARICOM, 2006). Until the 1980’s, the Government had a monopoly in various sectors of the economy e.g. the bauxite-alumina industry, tourism and sugar refineries (CARICOM, 2006). Under both Manley and Seaga administrations, populist policies intended to create more jobs boomeranged as a result of the oil crisis in 1973-74 and 1978-79 (CARICOM, 2006). This forced the government to privatize in a hurry and to increase borrowings from the IMF and the World Bank which subsequently plunged the nation into a debt crisis which continues even today (CARICOM, 2006). Jamaica currently spends nearly 60% of its export earnings on debt repayment which eats into its meagre foreign exchange reserves and leads to underfunding in social development projects (CARICOM, 2006). The government’s standard response to solving problems has always been through devaluing the national currency which presently, is at its lowest with respect to the US dollar.

The political fallout of the economic crisis can be measured in terms of high rates of violent crime, drug trafficking, high levels of illiteracy, teenage pregnancy and social anarchy – a state of affairs generally missing compared to stable Caribbean nations such as Trinidad and Tobago which enjoys nearly $19,000 in GDP per capita (CARICOM, 2006). The most worrying aspect of Jamaica’s economic crisis is its huge external debt to agencies such as the IMF and the World Bank and its inability to repay them (CARICOM, 2006). This automatically results in outside dictation of terms over the country’s domestic economic decisions (CARICOM, 2006). The corresponding fallout is reduction in sovereignty on economy decisions an issue to be explored in this thesis (CARICOM, 2006).

Foreign Policy

Soon after independence from Britain, early Jamaican leaders such as Bustamante, Sangster and Shearer pursued a policy of independence and non-alignment which was initially based on a sound economic infrastructure derived from bauxite/alumina sector, tourism, manufacturing and agriculture sectors (Girvan, 2006). Jamaica is an active member of organisations such as G-77, Non-Aligned Movement (NAM), the Commonwealth, and Caribbean Community (CARICOM) as well as giving its service as a non-permanent member of the Security Council (Girvan, 2006). Although its trade and commerce ties have been strongest with Britain and the United States, Jamaica has always pursued a proactive policy to engage with other Caribbean countries and also states like Venezuela for which it has earned the displeasure of Washington (Girvan, 2006).

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In order to fully tap into its diplomatic potential as a respectful international entity, Jamaica must aspire for a high degree of autonomy from powerful foreign states. This can only be achieved through foresight, consensus-building and tactful balance for which Jamaica should set its benchmark in emulating the examples of powerful nations such as China and India (Polidano, 2000)7. The first step the government can take is understanding that diplomatic sovereignty is a privilege to be earned through economic clout, not an automatic right (Polidano, 2000). In order to break free from foreign interference, Jamaica needs to mentally condition itself in dissociating from external agencies which hitherto were responsible for its development. The idea here is to present proved methods and mechanisms which enable a nation to strengthen its domestic institutions and accentuate its independent identity in a globalised world.

Rationale for research

During my experience as a government officer at the Office of the Jamaican Prime Minister and the Ministry of Foreign Affairs, I gained a first-hand perspective of issues relevant to this thesis. Working in the field of Public Administration and training as an undergraduate in Public Sector Management and International Relations have given me sufficient opportunity to examine, scrutinize and evaluate problems on the issue of sovereignty which are presently being tackled by the Jamaican government. In order to put forward a meaningful and insightful analysis, I have combined various themes (also, the hypothesis and its assumptions) into two highly relevant case studies (SAPs and SRAs) which underscore major foreign policy issues for Jamaica. The valuable lessons learned from these case studies confirm and corroborate the hypothesis in discussion.

Furthermore, at the American Political Science Organization’s (APSA) 2007 annual conference in Chicago, I happened to be part of a World Bank working group where Doris Voorbraak, a Senior Public Sector Specialist in Public Sector Governance presented a paper titled “Political Economy in the Context of Governance and Anti-Corruption at the World Bank. Ms.Voorbraak mentioned some milestones in governance thrust for the World Bank and argued for the following:

Often economic reforms failed either because the government was not committed to them or because the government underestimated opposition to reforms and was unable to carry them through. An insufficient understanding of the political economy of reforms and the nature of the state may have lead the Bank in some cases to push reforms that stood little chance of success.8

What this basically means is the World Bank, like the IMF, with no knowledge of Jamaica’s contextual situation, offers solutions which “seem” to solve problems arising due to technocratic hurdles in the solution package. In order to address the shortcomings in existing literature on political reforms as applied to Jamaica, I sought to carry out my own research in order to be in a position to offer new, meaningful insights into solving the problem at hand.

Another inspiration to me was professor Joseph Stiglitz, the former economist at World Bank who in his Noble Prize winning text, Globalization and its Discontents supports the notion that conditional policy reforms imposed on countries like Jamaica (at the corresponding lack of sovereignty) has only led to weakening of autonomy and lacks elements of human compassion. According to Stiglitz:

The unemployed are people with families, whose lives are affected—sometimes devastated— by economic policies that outsiders recommend and in the case of the IMF, effectively impose. Modern high-tech warfare is designed to remove physical contact: dropping bombs from 50,000 feet ensures that one does not ‘feel’ what one does. Modern economic management is similar: from one’s luxury hotel, one can callously impose policies about which one would think twice if one knew the people whose lives one was destroying.9

The above comments essentially suggest that despite the mistakes of Jamaica’s politicians in the past, current World Bank policies affecting smaller countries like Jamaica are unfair and unjust because they do not allow enough scope of recovery from debt-like situations and a more favourable policy shift is the need of the hour. They only end up making some countries richer at the expense of others who cannot compete in the absence of a level-playing field. Additionally, those who exert global economic and political power are not held accountable for their actions. The very objective of discussing public policy reforms as applied to settling issues of sovereignty for Jamaica is to develop parameters of this level-playing field.

Literature Review

General Overview

Issues of independence, national identity and freedom to decide one’s domestic affairs are all very important phenomena for the existence of the human society. Due to this fact, these issues were widely explored and studied by numerous scholars around the world. To begin with, the above enumerated issues are not only the matter of race and can be solved not only by certain political means like negotiations or adoption of certain laws. These issues embrace almost all the spheres of the existence of the human society, and especially the economic sphere which is of crucial significance here10. The works by various scholars discussed in the following paragraphs touch upon such problems and try to see their reasons and consequences. To be more exact, the very topic of all the below following sources is the position of Jamaica in the international relations, Jamaican historical heritage, colonial influence and economic dependency of the present time. These, in their turn, are the result of unstable situation in Jamaican economy and lack of political independence (Levitt, 2006).

Thus, the literature dedicated to the topic of mortgaging Jamaica’s policy space is numerous and the following paragraphs will reveal the main areas that have already been studied and outline the field of the further research that is demanded in this direction. The researcher is going to review the literature in order to obtain fundamental knowledge on the issue and select the most relevant sources of theoretical and practical data for the present paper. However, the main purpose of the current thesis is to study at more detail the processes that lacked scientific attention over the past years so that to complete the picture of Jamaican domestic and foreign political situation with special emphasis put on the issues of importance of the domestic governance bodies for the overcoming of SAP and SRA effects and influences11.

Theoretical Basis

The present research demands a strong theoretical basis and the works of numerous scholars provide the researcher with this basis. The works of such researchers and scholars as Baldacchio (2005), Barclay (2004), Bernal (2006), Fine (2001) and many others are dedicated to the issues of independence and freedom preserving of young countries that gained their sovereignty not so long ago. The authors try to see the main principles according to which the relations of these countries with the most powerful forces of the modern world should be constructed. For instance, Baldacchio (2005) in the work covers the issues of economic effects of the cooperation of young countries of the Caribbean with the transnational organizations and well-developed countries of the world12. The author is concerned with the points that these effects are mostly negative for such countries as Trinidad and Tobago, Jamaica and others because the World Bank and International Monetary Fund, as well as such countries as USA, are much more interested in their own purposes in those countries than in the wealth of their citizens (Broad, 2000).

Bernal (2006) develops the topic and ponders on the financial interests of the well-developed countries that they have in the former colonies. According to the author, powerful countries are pursuing the new markets for their products and cheap labor force together with the milder tax system. Fine (2001) discloses the points of the outside influence upon the processes that take place in the developing countries of Caribbean and other regions. Special emphasis in this work is put on the influence of the policies of the United States of America towards these countries. The work by Payne (2005) examines the globalization as the most influential process in the modern world and considers the roles that are attributed to the developed and developing countries in this process. The danger of the aggressive policies of the USA, Great Britain and Russia in the development of young formerly colonized countries is also highlighted in this work. Moreover, the colonial past of the Caribbean countries, and Jamaica in particular, is explored by scholars13.

For instance, Lewis (2006) considers the problem of the so-called “mirrored imperialism” as one of the major consequences of the colonial past of Jamaica. The main idea of the phenomenon is that the former influence of the dominions of the colonies, in particular Great Britain, affects negatively the ability of the country for its self-governance and independent existence in economical and political senses. At the same time, Kaufmann & Kray (2005) develop the topic of the colonial influence upon the modern state of the governance development of Jamaica and its so called “investment dependency” which is the reliance on the foreign investments and subsequent consent to foreign initiatives in politics and economy. Rose (2002) considers the political structure of Jamaica and the significance of the colonial past in this. The author develops the relations that exist between Great Britain and Jamaica saying that the political system of Jamaica is, to a large extent, due to the influence of British colonizers who implemented the first constitution of the island and actually taught Jamaicans the principles of the lawful and regulated politics14. However, the specific subjects of this dissertation were also reflected in the scholarly literature, and the following sections develop this point.

Structural Adjustment Policies (SAPs)

The topic of Structural Adjustment Policies (SAPs) was also reflected in the literature that the researcher had to consider preparing the basis for this dissertation15. Thus, Arthur (2006) dedicates his work to the issues of Jamaican revival after the implementation of the policies proposed by International Monetary Fund and World Bank. The author examines the state of Jamaican economy after the policies were implemented and comes to the conclusion that the new reality has been formed in Jamaican economy and it demands the changes in the society in order to allow people adjust to being independent in the economical sense from foreign investors. Furthermore, Greenaway and Millner (2002) develop the topic of the financial instability and deep crisis in which the Jamaican economy was after Structural Adjustment Policies were implemented in the country. The author describes the high inflation that governmental policies and trade liberalization caused and makes an attempt to find out and propose the possible ways out of the situation (Greenaway and Millner, 2002).

Another substantial part of scholarly research on the topic is dedicated to the consideration of the other party of the situation (Lodge, 2002; Griffith & Winston, 2001). In other words, these works examine the state of economies of the developed countries and the benefit that the Transnational Organizations obtained from implementing their policies and promoting their interests in Jamaica and many other developing countries not only in the Caribbean16. In order to outline the possible ways out for the developing countries that do not want to implement the SAPs any more, Sutton (2000) develops the agendas for them. The author ponders on the point that the young developing countries of the Caribbean that have colonial past and negative experience of Structural Adjustment Policies implementation need help in their further development and dedicates his work to researching the scientifically grounded directions for the further development of Jamaica and other developing countries17 (Sutton, 2000).

The topic of the relation between economy and social life of Jamaica is speculated upon in the work by Thomas (2007). The author states that these spheres of social life are interconnected and can not exist separately. Thomas also claims that SAPs worsened the economical conditions of Jamaica and made it greatly dependant from the foreign capital. Thus, the author proposes the means to revive the Jamaican economy and make it more independent. Among these means there are the following: development of the domestic industry, making the tax system milder for domestic investors, etc18 (Thomas, 2007). Furthermore, Ryan (2006), Strange (2005) and Wint (2004) develop the issues of social and political life in Jamaica. Their works concern both domestic and foreign policies and examine the main principles of them with special attention paid to the ability of Jamaica to interact independently with other countries after its economy was affected by Structural Adjustment Policies (Bovaird, 2003; Ryan, 2006).

For instance, Wint (2004) is concerned with the issues of competitiveness of Jamaican economy in the international arena meaning that Jamaica was long dependant upon other countries and its independent economy is under great doubt. At the same time, Strange (2005) and Ryan (2006) develop the topic of the influence of the two powerful countries of the world – the USA and Great Britain – upon the events and processes that took place in Jamaica after their initiatives were put into practice in this country. The authors argue that the politics of Washington and imperialistic ambitions were the major factors in failure of Jamaican development in the middle of 1980s19.

Special place among the scholarly works is taken by the paper by Joseph Stiglitz (2003) which is concerned with the issues of globalization in the world and Jamaican negative experiences as natural reflections of the globalized reality20. According to the author, Structural Adjustment Policies and Shiprider Agreement, among many other particular phenomena, were the pieces of evidence of the fact that United States and Great Britain were at first hand interested in their own benefit but not in the development of Jamaica as an independent state (Stieglitz, 2003). The author of the work is concerned with the issues of inflation, unemployment and poverty as the natural consequences of globalization when the rich become richer and the poor become poorer. Stiglitz (2003) covers also the overall picture of the development of the world economy and considers with close attention the place of new countries, former colonies, in the times of globalization.

Shiprider Agreement (SRA)

Shipride Agreement was a rather important phenomenon in the history of independent Jamaica, and due to this fact it was considerably studied by scholars21. Thus, some of the works considered in this section of the present dissertation are dedicated to the simple description of events that preceded and followed the signing of the Shiprider Agreement, others are concerned with finding out the reasons that led to the Agreement’s signing and the consequences it caused (Gonsalves, 2003). Moreover, certain works are examining the place of the Shiprider Agreement in the overall globalization and consider this phenomenon in the context of the geopolitical and economic events in the whole world22.

The essence of the very agreement, as well as its basic principles, is reflected in the works by Gonsalves (2003), Kaufman and Kray (2005), Lewis (2005) and many others. For instance, Gonsalves (2003) discloses the main idea of the Shiprider Agreement as the joint fight with the illegal drug trafficking across the marine borders of the United States and Jamaica. According to the author, the agreement was created as a rather effective tool of fighting the crime but turned out to be a tool of unlawful dominance of one country over another independent state – Jamaica23. Kaufmann and Kray (2005) argues that the decision of the Jamaican government to ratify the Shiprider Agreement was not the most adequate in the situation that was formed at that moment, especially taking into consideration the conditions of the agreement. United States were allowed to control the operation of the Jamaican coast guard and marine police for the better effect of the agreement, but in reality USA could control the whole scope of Jamaican foreign policy (Kaufmann and Kray, 2005).

Thus, Grant (2000) examines the signing of the Shiprider agreement in the context of the history of US – Caribbean relationships. The author takes his time to consider the relations that two forces, America and Caribbean countries, before any agreements were signed. Postcolonial period in the history of Jamaica and other Caribbean countries is considered in the article with special emphasis put on the interests of the United States that made Jamaica an object of their concern (Grant, 2000). Military concerns and economic benefits of the United States made them become the so-called “protector” for the young Caribbean countries. Protectionist forces placed on the territory of Jamaica and the economic initiatives promoted by the United States reflected, according to Grant (2000) the actual purposes of the developed countries in the region. Shiprider Agreement became just another embodiment of US interest in Jamaica and the importance of this country for the security of the USA.

Furthermore, Best (2006) studies the issues of independence and the effects to it caused by the Shiprider Agreement between Jamaica and the United States of America. The author discloses the basic features of sovereignty of a state and considers them in the context of the Shiprider Agreement. The major concerns of the work are the aspects of partial loss of the independence, especially in the foreign affairs that could be observed after the Agreement was signed and ratified (Best, 2006). Moreover, the annual report of the Caribbean Technical Committee on Small States CARICOM (2006) develops this topic and examines the financial aspects of the Agreement claiming that the independence from the colonial rule cost a lot to Jamaica in figures of political and almost military dependence from the United States. Girvan (2001) explores the issues of the contemporary development of the Caribbean countries and pays close attention to the issues that are present in the development of the social sphere in Jamaica, i. e. life of ordinary people, living standards, levels of poverty, etc.

Thus, the literature review allows the researcher to state the further directions of the present thesis. As can be clearly seen from the above presented information, the issues of Jamaican colonial past and its post-colonial existence have been studied rather precisely and leave little space for the discussion24. However, the problems that occurred in the Independent Jamaica demand further study. Among these problems, there are two special cases the study of which allows understanding of the whole picture of Jamaican political life. They are the implementation of Structural Adjustment Policies and Shiprider Agreement with the USA (Dunlop et al, 2004). The reasons and consequences of these phenomena, as well as the role of the local bodies of governance in their overcoming, are the major field in which considerable research is necessary. It goes without saying, however, that the qualified and proper research demands to be well-developed, structured and carried out with the help of the adequate methodology.

Research Objectives

Hypothesis

The major hypothesis of the present dissertation is as follows: externally-dictated public policies undermine political credibility in any nation’s pursuit of sovereignty over its own affairs. This hypothesis was dictated by the main objective of the whole research which is to develop the proper public policy framework in Jamaica that would allow the country to preserve its sovereignty and develop into a powerful player in the arena of international relations. Based on this hypothesis, the main area of study can be determined – it is the political and social life in Jamaica over the past three decades in the context of the colonial history of the country25. What needs to be done, according to the research hypothesis, is to study the political system of Jamaica in order to find out the reasons due to which Jamaica can not still obtain the complete independence in the political and economical sense of this term (Duncan, 2003). Drawing from the hypothesis, the following assumptions of the research can be formulated on the basis of the general topic of the dissertation “Mortgaging Jamaica’s Policy Space”:

  1. The examples of Structural Adjustment Policies and Shiprider Agreement demonstrated that properly authorized and supported local bodies of governance are able to control and override the external interferences in the development of the country. This assumption is to be either proven or denied based on the findings of the current research. Due to this, it acquires special importance in the context of the present study and demands close consideration of all the aspects of the two above mentioned phenomena – SAPs and Shiprider Agreement with the United States. Both phenomena took place in 1980s – 1990s, i. e. in time when political instability was typical of the developing countries and the role of Jamaican domestic policies was rather significant (Munroe, 2000). Due to this, the assumption of the research presents a great challenge.
  2. Modern world presents the kind of human society where nations tend to lose certain parts of their independence because of the process of globalization and integration of political and economical systems of all countries. The extent to which the sovereignty can be sacrificed in favor of globalization and overall wealth are to be defined in the present research.

The assumption is rather general in its nature, but it, nevertheless, reflects the essence of the case study method that will be used for the paper. The method presupposes the possibility to generalize results of the research as one of the main criteria of the success of the research. Thus, the opportunity to use the data of research for making general conclusions about the foundations of sovereignty is the best proof of the right direction chosen for the research26. Moreover, exploring the information to either support or neglect this assumption it is possible to understand the role of local governance for Jamaica in particular and use this understanding for proposing the adequate political system for the independent country (Barrett and Collin, 2001).

Research Purposes

Thus, the presented research hypothesis and assumptions allow the researcher to outline the leading purposes of the research. To start with, the formulation of the research purposes should be carried out rather attentively, as far as the purposes should reflect the hypothesis of the research and relate to the assumptions based on the hypothesis. In the majority of cases, the purposes of research focus on the most general matters and tend to be narrowed in their scope with the development of the research27. Usual purposes of research are objects of reality, organizations, countries, companies, individual people, etc. The most significant use of the formulation of purposes for this or that research is the ability to state or support once again the main objectives stated first in the hypothesis or possible to deduct from it28. Thus, the formulation of proper and well-developed research purposes contributed greatly to the clarity of research and provides for its success (Giddens, 2004). Drawing from the above said, the purposes of the present dissertation are as follows:

  1. To develop a suitable public policy system that would allow independent existence and growth of Jamaica in respect of all its historical and socio-cultural experiences. This purpose is the reflection of then main idea of the dissertation that states that Jamaican political independence is constantly being challenged and only strong local governance is able to override the outside influences and preserve Jamaica’s sovereignty29.
  2. To examine the social aspects of the Jamaican society development during the implementation of Structural Adjustment Policies and Shiprider Agreement. This purpose demonstrates that the main focus of the dissertation is the social sphere of society which is considered in the context of political and economical processes. The proper consideration of this purpose will allow the researcher to obtain the full picture of the Jamaican society and its main problems (Glesne and Peshkin, 2002).
  3. To examine the essence of the Structural Adjustment Policies and Shiprider Agreement and to see the role of local governance in the overriding of their effects. The final purpose, if properly developed, will allow the researcher to understand the essence of the processes that took place in the Caribbean countries in 1980s – 1990s and concerned the issues of their sovereignty and security30. Furthermore, the research purposes will allow the researcher to answer objectively the following research questions (Glesne and Peshkin, 2002).

Research Questions

As far as the basis for the further research and its main directions are formed, the respective research questions can be formulated. Their major focus will be the issues of Jamaican political independence, the role that the Structural Adjustment Policies and Shiprider Agreement played in its formation, and the overall interrelation of such concepts of the modern world reality as sovereignty and globalization (Brearly, 2003). Thus, the research questions are as follows:

What was the role of Jamaican local governance bodies in overriding the influences and consequences of SAPs and SRA?31

Answer to this question present the information about the SAPs and SRA as the important phenomena in the history of independent Jamaica and explains the role of the Jamaican political institutions in overriding and eliminating the outside control over domestic policies32.

What were the changes in the lives of ordinary Jamaicans after the SAPs and SRA were ratified and implemented?

Another major focus of the dissertation will be covered by the answer to this research question. Social securities, pensions, equal rights and financial independence of Jamaica from foreign investors, Transnational Organizations and other countries are demonstrated by the living standards of citizens33.

What is the interrelation between the concepts of sovereignty and globalization in the modern world?

The answer to this question will draw the overall picture of the modern world and the concept of sovereignty in it. The extent to which the state should sacrifice its sovereignty in favour of the globalization development will also be covered in the answer to this research question (Birkland, 2001). This point is significant to obtain answers to other research questions because it forms the background for the consideration of narrower aspects of the problem34.

Intended Audience

The dissertation covers and examines rather significant topics for the social and political life of Jamaica and the Caribbean region on the whole. Due to this fact, the intended audience of the present dissertation is rather specific. Another factor that explains this is that the audience can be divided into two main parts – people who will read and consider the issues raised in the paper, and people who will read, consider the issues and assess the paper in all its aspects, including clarity, theoretical basis, proper use of research methodology, etc. That is why the intended audience of the dissertation will be the University professors who are academics and possess considerable knowledge in the issues discussed in the dissertation. Moreover, public policy experts, and practitioners from among the government consultants are also the intended audience of the paper together with average readers who are concerned with the issues of political and social life of their country. Thus, the intended audience of the paper is rather diverse so the paper should conform to the highest standards of research of this kind to meet all requirements.

Methodology

General Overview

To start with, methodology is the basis of the successful dissertation as far as it outlines and determines the directions of the research and means of their achieving35. The researcher has to find the most fitting methodology for the particular subject of study and support the choice by presenting the objective scholarly reasons. Moreover, the necessity of methodology for any kind of the research lies in the fact that the intended audience of the paper has to be able to read and understand the paper, and only the well-developed methodology explains these aspects in detail. Due to it, the readers get acquainted with the subject of the research and with the ways in which the subject will be studied (Matveev, 2001).

The methodology used in the present dissertation is case study. This means that the scope of the research will not be too general36. It will concentrate of the two particular phenomena in the Jamaican political life that, nevertheless, these studies will allow the researcher to get the full picture of the events that took place in Jamaican domestic and foreign politics in 1980s – 1990s. On the whole, the methodology of the current dissertation was selected by the researcher in order to ensure the obtaining of the most objective data and not to make the research a presentation of figures and their explanation. In other words, the case study as the research method is the most fitting instrument in order to conduct the research that is planned to deal with the qualitative data only, or with the combination of both qualitative and quantitative data (Smith, 2001). The current methodology will allow the researcher to use the specific pieces of evidence and analyze them in all their aspects including their causal and consequential relations, historical, political and social contexts and all possible inside and outside influences on the studied phenomena37.

Thus, the methodology chosen for the conduct of the present research is rather fitting for its objectives that are stipulated in the Introduction section and will be discussed closer in the respective section of this paper below. The influences of the outside factors and the roles of local institutions and bodies of governance in Jamaica will be studied in the context of the overall political situation in Jamaica in the 1980s – 1990s (Emannuel, 2003). The case study methodology will allow the researcher to interpret the research findings on the stipulated topic and group them in accordance with the research questions, hypothesis, assumptions and objectives.

Case Study and Qualitative Method

The method chosen for the present dissertation is the method of Case Study using the qualitative research data. The choice of the method was not accidental and can be supported by the number of strong arguments in its favor. The main argument supporting the usage of the case study method in the current reserach is that, according to the interpretative paradigm of relations38, social and political reality is a sum of certain particular events and decisions made by people who participate in it (Smith, 2001, pp. 23 – 25). In this case, it is necessary to use a qualitative data for the case study method of research because only these data allow seeing the reasons and the underlying facts of a certain phenomenon. As far as I am going to consider two rather important processes in the political and economical life of Jamaica, there will be certain necessity in figures only when the specific economic notions will be explained. In the rest of the research, the main objective will be to find out why Jamaican government allowed implementing the harmful policies and ratified rather disadvantageous agreement and what was the role of local bodies of governance in overcoming their effects. Due to these facts, the case study with the wide use of qualitative research data will fit the research purposes39.

Moreover, the qualitative data of research are used when the task is to explain certain processes and phenomena of the objective reality from the subjective point of view, when it is necessary to see causes of phenomena, to decode them and interpret (Mitchell, 2000, pp. 383 – 390). It is the main advantage of the qualitative data of research in the case study method in comparison to the quantitative data, according to Smith (2001) which is aimed at finding out the rate at which this or that phenomenon may occur, i. e. the quantity of this or that phenomenon occurrences for a certain period of time40. As far as the research needs to be focused on the essence of the phenomenon under consideration, qualitative method is of great use because it does not presuppose the usage of categorical formulations, formulas or definitions, it is concentrated on collecting and synthesizing the subjective data in order to make conclusions about this phenomenon (Matveev, 2001).

To make the support of this very method of research for the current dissertation, the following characteristic of the case study method can be considered. First of all, a case study is focused on the interrelations between phenomena in the form of social and political development. This means that while quantitative research deals with figures, the qualitative one examines the underlying factors that caused or influenced the development of this or that event of the objective reality41. This method allows more access to the hidden messages that are not accessible from figures. Secondly, case study method is used to interpret and properly understand the causes and effects of events, to see what actual interests stand behind this or that political or economical process, etc (Matveev, 2001). Thus, the things that are implicit, i. e. hidden by certain statements that do not reflect the actual reality, can be interpreted and analyzed seeing their reasons. Finally, it is a method that studies roles of different people in situations that happen in different contexts, and by this allows consideration of numerous subjective opinions that can picture the objective reality (Matveev, 2001).

Among the weaknesses of the case study method, the following ones can be mentioned. Firstly, lack of objective results as they depend upon the personality of the researcher can be noticed in some research works carried out by qualitative method42. This is true, but not in all cases, and depends mainly on the researcher and his or her principles of work. Secondly, case study method in some cases displays inability to insure the truthfulness of the data acquired as far as resources of information can be biased for certain reasons and drop certain, for instance, politically important or prohibited for publication data, which, if made public, could affect the results of the research to a great extent (Matveev, 2001).

Nevertheless, the weaknesses enumerated can are true not in all situations and can be opposed by the following arguments. Firstly, objectivity of research is not guaranteed by any research method because the researcher can choose to drop certain data that seem to be irrelevant to him or her but can change the results of the whole study drastically. Nevertheless, even in this method it is not the common practice and reputable researcher will never allow him/herself doing it (Mitchell, 2000, pp. 383 – 390). Even the quantitative method aimed at using of exact data can be subjective as far as the official point of view is represented and the ideology that contradicts it can be censored by the government, etc43.

Furthermore, the following strengths of the case study method will be enumerated44 so that to make the usage of this approach completely grounded:

  • ability to focus specifically on the few subjects of the research; This advantage is enumerated here because the data obtained from the study of a certain particular phenomenon, like for instance the implementation and effects of Structural Adjustment Policies in Jamaica, can bring more objective and precise results than the concentration on several processes that can result in the lack of substantial information about any of them.
  • usage of various tools and instruments while conducting research without limiting on figures, percentage, etc.; This advantage allows the researcher to vary the set of tools and instruments used for data collection and analysis and in this way to ensure the objectivity of data gathered for the research. If all the data are collected from the single source or from a number of similar resources, the information can be biased and too specific which will not provide for the generalization of research findings and will reduce its scientific value. On the contrary, if sources of information and instruments of their collection and analysis are numerous and various, the researcher is allowed to choose the most fitting one for this or that research objective or question.
  • due to the two above mentioned factors ability to get the full picture of the phenomenon under consideration (Matveev, 2001; Smith, 2000). This is the main advantage of the case study method and the usage of qualitative research data45. This method provides the researcher with the opportunity to see the phenomenon under consideration from all sides and in all aspects (Mitchell, 2001). Thus, for example, the role of Jamaican local governance and domestic authorities in controlling the operation and overcoming the effects of Structural Adjustment Policies and Shiprider Agreement will be examined in the context of colonial past of Jamaica, social and economic reality in the country and globalization as the leading trend in the modern world46.

Instruments

General Overview

The major task for every researcher is to select the most fitting instruments for collecting and analyzing data. This choice depends mainly on the type of the case study that is planned to be carried out. The main difference between the instruments is that some of them are designated for single-case studies and others are used when conducting multiple-case ones47. When a single-case study is to be carried out the researcher has to develop a descriptive theory and create the methodology fitting to it. But when the multiple-case study is to be done, the most useful instruments for its conduct are cross-case examination, comparative analysis and usage of interpretative paradigm of analysis (Matveev, 2001). All this instruments are constructed to be used as the guarantee of the validity of all the aspects of the research. Among them there are such aspects as construct validity, internal and external validity and reliability of the research48.

Construct validity of the research is ensured by the selection and usage of the appropriate methodology and instruments during the research. This aspect is the basis for all further activities as it defines the purposes of the research and the means of their achieving. Internal validity is the matter of facts and sources of information that were used by the researcher. This aspect allows the researcher to get the full picture of the phenomena studied through their comparison and cross examination. External validity is constructed by the ability to generalize the research findings and implement them in other cases of the same kind. Finally, the reliability of the research is the precision of the findings, i. e. the rate to which the findings reflect the reality and actual happenings to the object of the study (Giddens, 2004).

Thus, as far as the idea of the current dissertation is the conduct of multiple-case study of the two phenomena in the political life of Jamaica, the instruments chosen for it will be as follows. First of all, the information will be gathered by means of studying the documents and respective literature on the topic49. The next step will be the selection of the necessary data and their analysis using the interpretative paradigm, cross-case examination of findings and some other techniques. After this, the qualitative data of the research will be analyzed and formulated into respective conclusions concerning the topic of the whole research. All the information will be presented in accordance with the stipulated research objectives and questions that will allow the researcher either to support or neglect the research hypothesis and assumptions.

Data Collection Instruments

The main instruments of data collection for the present dissertation will be the designing of the proper research and study of the primary sources and numerous scholarly works concerning the topic of the two case studies under consideration. The design of the research implies the properly developed structure of the research including the research objectives, questions, assumptions and hypothesis together with strongly supported methodology and fitting instruments for the collecting and analyzing data of the research50. This instrument will allow the researcher to be well aware of all the issues that can be met during the work and of the ways to handle them. Moreover, this instrument will be of considerable use to formulate the report about the work conducted in scientific terms that will be understandable to the intended audience of the paper. On the whole, the design of the research will provide for the clarity of the paper in terms of clearly outlined aims, ways of their achieving and precise formulation of conclusions that could be readable and appropriate for the intended audience of the dissertation.

Another instrument of data collecting for the present paper will be the close study of the two considered phenomena – Structural Adjustment Policies and Shiprider Agreement – through the scholarly literature and primary sources on the topic. The study of documents including the texts of the agreements that were concluded between Jamaican and American Governments, scholarly and publicistic articles and scientific foundations of the political activities on the whole will be considered. The majority of the necessary sources of information for the dissertation can be accessed online, nevertheless some of them will be accessed in the local libraries so that to make the theoretical basis and amount of evidence for large enough for the research of such a scope.

To be more precise while collecting the data for the stipulated case studies, the researcher will concentrate on the social and economical aspects of the problems studied. Thus, the issues of health schemes, food subsidies, education, a national minimum wage, equal pay for women, rent and inflation control, which are social development projects, will be studied at first hand before political events and basics of sovereignty in general (Karagiannis, 2003). Special attention will also be paid to the role of the development of local governance in overcoming the effects of the Structural Adjustment Policies and Shiprider Agreement, as well as in overall overcoming the outside interference into the domestic affairs of a country, in this case of Jamaica (Mishra, 2006). All this data collection instruments will allow the researcher to carry out the successful work that will present the objective and precise results and will be applicable to numerous cases of the same kind in other countries. The data collection instruments will be followed by the data analysis instruments that will allow the researcher to structure the gathered information, analyze it and make respective conclusions. This, in its turn will be of great help to create and present the well-developed dissertation reporting all the research procedures and findings51.

Data Analysis Instruments

Analysis of the data obtained during the research is of crucial importance for the whole research. To be more exact, there are no less important phases in the research, because they all are interconnected and the failure at least in one of them means the failure of the whole research52. That is why the present dissertation will make use of the following instruments of analyzing the data collected at the initial stages of the research.

The first instrument will be the analysis of the data through the interpretative paradigm of relations. The very name of the paradigm reflects its essence – it is the instrument used to examine the relations between the different aspects of the same phenomenon and between different phenomena. In more detail, the interpretative paradigm deals with the reasons that this or that phenomenon had; tries to dismantle the underlying factors that cause this phenomenon; explores the phenomenon in operation; and examines the effects and consequences of the phenomenon in various contexts – historical, economic, social, etc (Hamel et al., 2003).

In this dissertation, the interpretative paradigm will be used to see the reasons that drove the Jamaican government to signing the Shiprider Agreement and to adoption of the Structural Adjustment Policies. The paradigm will also allow the researcher to see the actual motivations of the Transnational Organizations and well-developed countries of the world in implementing Structural Adjustment Policies53. Moreover, the paradigm will allow the researcher to the see the effects of the above mentioned policies and role of Jamaican political institutions in the situation. The lives of ordinary people in the form of social security levels can also be seen if the financial data are analyzed through the paradigm. It goes without saying that the proper interpretation of data obtained during the research will be easier if the data are structured and grouped so that the cross-case examination and concluding could be carried out (Hamel et al., 2003).

The structuring of the data obtained during the research will be carried out by means of sorting the most relevant and less relevant data for this or that research question. As far as the information will be reported according to the order of the research questions, this instrument will be of great use. Another important instrument will be categorization of data and tabulation of the most important points in order to make them more readable and understandable for the intended audience of the paper. Thus, the most important points of this or that phenomenon will be enumerated and made clear for the comparison and cross-case examination. At the same time, the quantitative data concerning the figures of budget, GDP growth rates, etc. will be structured in tables and presented for easy and proper analysis54. This means that the research will provide the opportunity to examine the reasons and consequences of the two phenomena studied in order to determine the possible similarities and differences in them.

Research Findings and Analysis

Overview

The scope of the present dissertation is rather wide, and due to this fact the reporting of the research findings is a rather complicated process. To make it easier and to structure it according to the research questions and purposes, this general overview of the research findings is developed. Its aim is to outline the main results of the research carried out and put them in the general historical and political contexts of Jamaican reality. The research was carried out in the form of the multiple-case study, i. e. the two cases were examined in all their aspects in order to answer the research questions (Smith, 2000). The researcher studied the case of Structural Adjustment Policies implementation in Jamaica as proposed by the International Monetary Fund and World Bank. Another case study touched upon the essence and effects of the Shiprider Agreement between Jamaica and the United States. Both case studies were carried out in order to see the development of public sector management in Jamaica and the role of local governance authorities in overriding the effects of the above mentioned economic and political processes55.

To start with, it would not be out of place to recall the historical context in which both case studies were considered. In order to see the reasons that made Jamaican government agree on the policies offered by the Transnational Organizations in the late 1970s – early 1980s, the more remote past of the country should be considered. The very problem appeared in the initial stages of Jamaican colonization by the Great Britain (Emanuel, 2003). From that time on, Jamaican people always fought for their Independence, but their efforts brought no results. Jamaica is the island with a modest number of citizens and they could not resist the powerful and numerous expansion of the British Empire. Over three hundred years of Jamaican history were spent under the sign of constant fighting for independence (Bernal, 2005).

However, the political and economic systems of the island were developed according to the interests and to benefit the colonizers – British Empire. Due to this fact, the political structure of Jamaica was created as completely dependant upon the decisions made in London. Foreign policies were outlined and carried out by the British officials. Needless to say that the politics of Jamaica was dominated by Great Britain and Jamaica had no constitution and no bodies of local governance except the colonial authorities where everything was decided by the Governor-General appointed by the King of Queen (Emanuel, 2003).

Finally, in 1944 the first constitution of Jamaica was adopted but it still had little to do with the effective legislation. Jamaica had its own government but it was appointed by the British officials from the House of Representatives and had no actual executive power56. In 1953, the improved variant of the constitution was adopted and this document provided the country with the possibility to make its own decision although still referring to the supreme power of the British Crown (Karagiannis, 2003). Nevertheless, the Executive Council consisting of 8 Ministers was designated to deal with domestic and foreign policies of Jamaica, while the issues of security were still controlled by the British officials who took the positions of the Colonial Secretary and Attorney-General of the country (Best, 2006).

At the same time, the first Chief Minister of Jamaica was elected and it was Bustamante. In 1955 he lost power and Manley became the head of the state. These two people determined the domestic and foreign policies of Jamaica and the development of its political systems until Manley died in the early 1990s57. During the early post-war period, Jamaican political system developed into quite autonomous one with its own Cabinet of Ministers, and attributed mostly the formal role to the position of the Governor-General, while the actual power was controlled by the Chief Minister (Gill, 2000).

Observing the situation, British Government decided to stop the development of the independent states in the Caribbean by creating the Federation of West Indies that was established in 195858. Jamaican politicians, and Bustamante and Manley in particular, took leading positions in the political system of the newly formed Federation but 1961 set the question of the complete independence of Jamaica, and the referendum with the respective question was carried out in the country (Emanuel, 2003). The results of the referendum were not surprising and the vast majority of the population supported the idea of independence that was soon acknowledged by the British Crown. The official independence of the country was proclaimed in 1962. Since then Jamaica obtained the right to make all decisions independently but the country proved to be not ready for such a drastic change (Gill, 2000).

The period of 1960s is marked by the so-called process of “industrialization by invitation”59. This process was directed at the development of the industrial sector of economy as contrasted to the highly developed agriculture that was the main source of benefit in Jamaica for years. The rulers of the newly formed country, and the Prime Minister Bustamante, proclaimed the direction to the industrial state and non-IMF policies. The essence of the “industrialization by invitation” lied in providing the beneficial conditions for foreign investors that had to invest money into Jamaican economy and establish their enterprises in Jamaica60. This policy brought positive results but the conflicts within the political elite of Jamaica led to another election where the power came to Manley who proclaimed the so-called programme of the “third path” (Grant, 2000). The program was directed at developing domestic resources of bauxite in Jamaica and reformation of economy and agricultural sector61. The ideas expressed in the program looked positive but the conflicts between aluminium producing companies, inconvenient tax climate and excessive interference of the government into the businesses of private entrepreneurs made the program fail in Jamaica (Grant, 2000).

Thus, the end of 1970s was marked by the address for help to the International Monetary Fund that agreed to grant the necessary sums of money (from $40 million to $420 million) in exchange for the implementation of Structural Adjustment Policies in Jamaica. Moreover, the political situation in Jamaica was also difficult and relations with other countries could not be developed. Seeking help and support, Jamaican government addressed numerous countries and the United States having Jamaica in the field of its interests agreed to assist Jamaica (Wint, 2004). Needless to say, that US interests were dominant in the relations with Jamaica and the so-called Shiprider Agreement proved this fact in 1997. Of course, the Jamaican domestic political institutions developed simultaneously with the above mentioned processes and interacted with the policies and agreement that could be harmful for the country (Fine, 2001; Barclay, 2004). The following paragraphs will disclose the detailed research findings in respect of the Structural Adjustment Policies and Shiprider Agreement based on the case studies of these phenomena that were carried out by the researcher62.

SAP/SRA and Jamaican local governance. Effects SAP

To begin with, the reporting of the research findings from the case study of the Structural Adjustment Policies implementation in Jamaica will be carried out in accordance with the research questions. As far as the first research question inquires about the role of local governance, if any, in overriding the effects of SAPs in Jamaica, the present section will be dedicated to the results of the case study on the topic. In order to make the report as precise as possible, it is necessary to state the essence of the Structural Adjustment Policies and their main objectives63.

Thus, the SAPs are the specially designed packages of policies that are implemented in the countries of the Third World in exchange of the loans and money grants from the International Monetary Fund and World Bank. The conditionalities of the Structural Adjustment Policies are the terms to which the developing countries agree in order to obtain the money they need for paying debts and keeping the living standards of their citizens (Wint, 2004; Thomas, 2007). The main objective of the present conditionalities is to ensure that the money lent by the Transnational Organizations are used in accordance with the stated purposes of loans, i. e. development of countries economy, industry, agriculture64. Among the main demands of the Structural Adjustment Policies there are such items as increase in the number of privately owned enterprises, decrease of state interference into economy, liberalization of trade, lowering taxes, creating convenient conditions for foreign investments and many others (Cox, 2003).

Very often, as the experiences of African and Asian countries demonstrate, results of the SAPs implementation are drastically negative – poverty growth, increase of the gap between the rich and the poor, rise in unemployment rates, law wages, poor access to education and health care systems are all the effects of Structural Adjustment Policies. Jamaica was not the exception of this rule, and all the negative effects of the SAPs could still be observed in the country (Thomas, 2007).

The main reason for Jamaica to adopt the Structural Adjustment Policies in the late 1970s – early 1980s was the crisis that the local economy experienced after the failure of poorly populist programs by the Prime Ministers Manley and Seaga65. The programs were directed at creating the independent economy of Jamaica and providing for its cooperation with other countries, but turned out to be the way to partial loss of independence, at least in the economical sense. Thus, already in 1977 the Government of Mansley took the first loan from the International Monetary Fund that resulted in the long period of Structural Adjustment Policies implementation in Jamaica that lasted from 1980 (Thomas, 2007).

The main demands formulated by the International Monetary Fund were concentrates around the liberalization of Jamaican economy and preservation of the right of private property. The International Monetary Fund developed the policy that was to improve the economic conditions of Jamaica, and was based on the following points:

  1. Allow the privatization of state-owned objects in the country. Privatization by foreign companies and investors is preferred to privatization by domestic ones. This initiative was to ensure the right of private property and the existence of democracy in Jamaica that should have attracted the foreign investors66. The idea of privatization was not new to the local governance of Jamaica but the ideas of the Manley’s Government were directed at state-controlled economy which led to the crisis and to the enforced implementation of private ownership in Jamaica (Gill, 2000).
  2. Cut the spending of the Government that would mean the decrease in the state interference into the private sector. The private ownership demanded effective means of its support and the reduction of governmental financing of the social sphere of life. In other words private entrepreneurs were entitled to finance the sphere of social securities, health care, etc. The governmental role was reduced to the control of the lawfulness of the processes of privatization and control over the implementation of the Structural Adjustment Policies (Gill, 2000; Gonsalves, 2003).
  3. Impose the so-called “user fees” for the services provided by the Government of Jamaica. This demand of the International Monetary Fund was directed at guaranteeing that the Government will possess the necessary finance for returning the loans. That finance was to be obtained from the citizens of Jamaica who were obliged to pay for health care services, education, etc.
  4. Promote exports of the domestic production. This demand of the International Monetary Fund was dictated by its being interested in the development of new markets in the countries of the Third World. These countries, and Jamaica among them, had to export the goods they used to consume at domestic markets thus leaving the space for the import of goods produced in the developed European countries and United States.
  5. Increase Interest Rates. This step was claimed to reduce the number of credits that are not paid for. High interest rates would allow only the middle class and the rich people take credits, as they would present guarantee of their credibility.
  6. Carry out Trade and Tax liberalization. This point was included into the demands of the Structural Adjustment Policies because the International Monetary Fund was interested in the equal trading possibilities for all countries, and the liberal trade legislation in Jamaica would allow the access to the cheap labor force and create new working places for Jamaican citizens (Gill, 2000; Gonsalves, 2003).

At the same time, the role of Jamaican local governance in this process was quite passive67. The Government had no alternative but to agree to all demands of IMF because the crisis demanded quick solution to be found. The properly structured local governance and public sector management would not allow the overall expansion of IMF interests regardless of Jamaican national priorities68. Thus, the implementation of the Structural Adjustment Policies had completely negative effects upon the economy of the country. The effects of the Structural Adjustment Policies upon the social aspects of life in Jamaica can be demonstrated by the following table (Table 1) reflecting the GDP growth rates for the two decades of their implementation:

Table 1.

Year GDP growth, %
1980 – 5,7
1981 2,6
1982 – 1984 2,6
1985 – 4.7
1986 1,6
1987 – 1990 4,6
1991 – 1995 2,0
1996 – 1,8
1997 – 2,4
1998 – 0,7

Table 1 reflects the fluctuations in the GDP growth rates that were mainly connected with the usual effect of the implementation of the new policies by the IMF. Thus, when the privatization was implemented the initial decrease in the GDP growth rates was followed by the increase when the market got accustomed to the new policy. At the same time, together with trade liberalization the GDP started strong growth, but the market and the state budget of Jamaica turned out to be exhausted by this policy and the GDP growth rate started the new falling. The figures for the last 3 years demonstrate the results of the overall implementation of SAPs in Jamaica, and these results can not be called positive69. The proofs of the negative effects of trade liberalization can be see from the following table (Table 2):

Table 2.

Year Average Import Tariff, % Standard Deviation of Tariffs
1980 25,7 24,3
1981 – 1990 25 20,7
1991 – 1992 22,1 16,7
1993 – 1997 14 13,4
1998 11,8 14,7

The same can be said about the state of the health care system in Jamaica. The figures that were planned in the state budget for the financing of the health care system and other social services were rather small and not enough to ensure the adequate living standards for the population. The following table (Table 3) demonstrates the financing of health care under the SAPs (Bovaird, 2003):

Table 3.

Factor 1990 1993 1996
Executive Director & Administration 0,071 0,022 0,053
Training 0,018 0,017 0,018
Primary Health Care 0, 205 0,157 0,170
Secondary and Tertiary Health Care 0,589 0,512 0,580
Healthcare Services Support 0,117 0,028 0,034

The presented table reflects the share granted to the health care system in the state budget of Jamaica was very small and demonstrates once again the negative influence of the SAPs upon the development of all spheres of social life in the country. The issues of equal payment for men and women in Jamaica have always been rather important and the SAPs implementation did not change the situation with it for the better. Women still earn lower wages than men, as well as enjoy fewer rights in education and employment opportunities. The access to education is another major problem of the Jamaican society created by the implementation of SAPs (Bovaird, 2003). The gap between the rich and the poor is increasing and education becomes the privilege of the rich people only.

At the same time, the political relations of Jamaica with other countries were also rather difficult. The foreign policy of Jamaica was dominated by the United States interests since 1980 when Seaga, strongly supported by Washington, took the office of the Prime Minister of Jamaica (Gonsalves, 2003). His policies led to the partial loss of independence of Jamaica in foreign policies and put them under the control of the United States and resulted in the Shiprider Agreement (Grant, 2000).

SRA

The political position of Jamaica has always been quite difficult. The colonial past of the island excluded the possibility of completely independent existence of the country in the future. Jamaica has always had strong political and economic ties with Great Britain, the neighboring counties in the Caribbean and the United States of America. Due to this, all foreign affairs of Jamaica were in this or that way overviewed or controlled by either of the countries. The Shiprider Agreement of 1997 signed between Jamaican Government and the Government of the USA demonstrated once again the dependence of Jamaica upon other countries in its foreign affairs, as well as the influence these countries have upon the domestic political situation in Jamaica. At the same time, the role of the local governance in the process of relations with the outside influences was quite passive. Probably, it was so because of the improper organization and lack of qualification of the Government officials who were unable to defend the national interests of the country (Board, 2000).

The roots of the Shiprider Agreement lie in the first decades of the Independent existence of Jamaica and in the economical instability of the country. From the early 1960s, Jamaica was influenced by other countries and Transnational Organizations. The failure of the policy of the “industrialization by invitation” led to the dependence from International Monetary Fund and World Bank. The economical instability resulted in the wish to ensure the political support of other countries70. Thus, the Shiprider Agreement was an attempt not only to cooperate with the United States in drug trafficking fighting but to ensure the possible financial help of the USA in case of some crisis (Broad, 2000).

The main aim of the agreement was declared to be the struggle against illicit drug trafficking in the waters of Jamaica and United States. It goes without saying that the declared purpose of the document is rather positive but there were certain underlying factors in it. The official version of the Agreement between the two countries claims the agreement to be willful from both sides, but certain enforcement factors can also be seen in the situation71. First of all, what could influence the decision of the Jamaican government to sign the agreement under consideration was the overall influence and power of the US government in international affairs. In other words, a kind of fear of sanctions against the country in case if the agreement is rejected, led the Jamaican government to its signing (Gonsalves, 2003).

However, the sanctions could be implemented against Jamaica even after the agreement was signed. In 1997, the US Government stated that the work of the Jamaican party of the agreement directed at eliminating the illicit drug trafficking was not efficient and declared the intention to set certain sanctions against the country if the situation did not change. Needless to say, that the United States looked for their own benefit from the Agreement. Thus, the result of its signing was the opportunity to influence the foreign policy of one of the most important countries in the Caribbean and the chance to use the waters of this country and land to place US military detachments there. The very text of the agreement presents hidden references to these intentions:

The Government of the United States of America may designated law enforcement officials who, subject to United States law, may for the conduct of law enforcement operations for prevention, detection and suppression of illicit traffic in United States waters, embark on Jamaican law enforcement vessels. While so embarked and for the aforesaid purposes, such U.S. law enforcement officials may: enforce the laws of the United States in United States waters and seaward therefrom, in the exercise of the right of hot pursuit or otherwise in accordance with international law; and authorize the entry of the vessel into and its navigation within Jamaican waters (Shiprider Agreement, 1997, Article 8).

On the other hand, the actions of Jamaican governance may be called adequate because the agreement with the USA is a guarantee of piece and cooperation with many other countries. This demonstrates that politics was more important for Jamaica than economy and can be explained by the fact that political wealth determines the state of economy in the situation that Jamaica experienced in 1980s – 1990s (Kaufmann and Kray, 2005).

Sovereignty and Globalization

To start with, the definition of sovereignty is highly problematic. It is highly generalized hence intensely debated. Generally, in reconciling different views it is recognized as: a territory where rule is exercised (geographical); a population must exist; sovereign (final and absolute authority); powerful with the authority to secure obedience and deference through legitimate means; a domain with systemized and codified laws; a unified natural community with common cultural identities and one that possesses the will to adhere to the doctrine of self determination; and an international actor which pursues external sovereignty and asserts it independence (Stieglitz, 2003).

The colonial state missed three crucial elements of statehood: Firstly, sovereignty was denied and place in the hands of the imperial power. Secondly, nationhood was disputed until the imperialists left and there was no longer an international presence. In short, state construction was based on the institutionalization of agencies of domination, but eventually, on the road to liberation the colonial state used the political space and territorial personality to acquire sovereignty72, nationality and its right as an external actor. A civil society was implanted in the Anglophone Caribbean which played a crucial part of state formation. In the Jamaican context this nature of social and structure inadequacy is partially constrained by the evolution of the state and its pervasiveness before a feeling of nationhood. In such a situation, the state was used to create the nation instead of visa versa (Stieglitz, 2003).

Moreover, the definition of globalization is rather problematic. Generally, it is the loss of sovereignty to some extent in favor of general wealth. It is manifested in different ways, but in the Jamaican context it proved to be a negative phenomenon. Globalization in Jamaica led to the formation of the nation separated by income levels and unable to act independently. According to the conditions of the modern world, globalization itself presupposes that countries exchange their sovereignty in part for the benefits they can get from cooperation with other countries. But the policies of Jamaican government seem to be unreasonable as for the extent of sovereignty loss that was allowed in trying to revive the country after economic and political crises. Thus, the SAPs and Shiprider Agreement are negative examples of the countries participation in the process of globalization. The example of Jamaica demonstrates that the properly structured local governance can resist the negative influences of globalization and outside interference in the country’s affairs, but the political organization of Jamaica proved to be unable to do it (Stieglitz, 2003).

Conclusions and Recommendations

In order to sum up the findings of the present research, the following statements should be made. First of all, the research findings affirmed the research hypothesis and research assumptions, but did it by means of the so-called “reverse example” meaning that the case studies used to prove them presented opposite results. In other words, the assumptions of the research were proven because, Jamaican government did not achieve the expected results. It was stated that properly organized governance can override outside influences, and Jamaican governance did not because its organization was not effective. Hence, it can be stated that the local governance is a great force in preserving sovereignty, and the Jamaican examples with SAPs and SRA demonstrate the results of the lack of strong governance.

The research findings answered the research questions, and presented the following information. The role of Jamaican local governance in overriding the SAPs and SRA was rather passive and only certain aspects, like for instance motivations for SRA, can be considered as positive. Moreover, due to the lack of strong governance, the lives of ordinary Jamaicans were changed for the worse, as the living standards fell, social securities were unavailable, poverty and unemployment grew during the SAPs implementation. The signing of SRA affected the sovereignty of the country and allowed the US navy to use the national waters of Jamaica and influence its domestic and foreign policies. Drawing from this, the interrelation of sovereignty and globalization can be figured out as the one which is acceptable only to the extent when national independence and political freedom are not lost to another country. In the case with Jamaican experiences, it can not be stated that the country managed to keep to this point. That is why the recommendations based on the results of the research are needed in order to fulfill the final purpose of the dissertation – to offer the effective public policy and governance system ensuring independent development of Jamaica.

The initial point in the recommended system will be the ensuring of the qualification of the public policy workers. These people should be specially trained and have experience in this field. The next step will be the development of national cultural and ethnic values that would allow getting rid of colonial past and complex of inferiority. These steps will provide for the confidence while forming the progressive public policy system for the government of Jamaica. The system should be oriented mainly on the needs of citizens. This means that respective specialists should monitor the economic and political situation in the country and abroad to advice the government as for the policies that would have the best effect inside the country. Moreover, the ability to promote national interests regardless of possible sanctions of the international community will also be developed by using the proposed program. To conclude, the proposed public policy system is the combination of qualified workers, clearly stated objectives and means of their achieving by Jamaica.

References

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Best, Lloyd (2006). “Independence and Responsibility: Self-knowledge as an Imperative,” in Kari Levitt and Michael Witter (eds), The Critical Tradition of Caribbean Political Economy: The Legacy of George Beckford. Kingston: Ian Randle Publishers.

Birkland, Thomas, A. (2001). An Introduction to the Policy Process: Theories, Concepts and Models of Public Policy Making, Armonk: M. E. Sharp.

Bovaird, Tony and Elke Loffler (2003). Public Management and Governance, London: Routledge.

Brearley, D. (2003). The case study: Threat or opportunity? Counselor Education and Supervision, 33, 35-37.

Brewster, Havelock (2003). “The Report of the West Indian Commission: Time for Action – A Critical Appraisal,” Caribbean Quarterly, vol. 39, no. 1.

Broad, Robin and John Cavanagh (2000). “The Death of the Washington Consensus?” World Policy Journal, vol. 16, no. 3 (Fall): 79-88.

Brown, Deryck (2008). “The Private Sector as a Social Partner: The Barbados Model,” in Selwyn Ryan and Ann Marie Bissessar (eds), Governance in the Caribbean. St Augustine: SALISES, University of the West Indies.

CARICOM (2006). “Cost of Governance,” Meeting of the Caribbean Technical Committee on Small States, Barbados.

Cox, Robert (2003). “Structural Issues of Global Governance: Implications for Europe,” in Stephen Gill (ed.), Gramsci, Historical Materialism and International Relations. Cambridge: Cambridge University Press.

Duncan, Neville (2003). “Governance in Small Societies: The Importance of Strong Democracy,” in Kenneth. Hall and Denis Benn (eds), Governance in the Age of Globalisation: Caribbean Perspectives. Kingston: Ian Randle Publishers.

Dunlop, Adam, Stefan Szepesi, and Kathleen Van Hove (2004). “Organising Trade Negotiating Capacity at Regional Level: A Caribbean Case Study,” European Centre for Development Policy Management Discussion Paper, no. 54.

Evans, Peter B. (2005). Embedded Autonomy: States and Industrial Transformation. Princeton: Princeton University Press.

Emmanuel, Patrick (2003). Governance and Democracy in the Commonwealth Caribbean: An Introduction. Bridgetown: ISER, University of the West Indies.

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Footnotes

  1. The issue of “lack of sovereignty” is frequently mentioned in Ryan, Selwyn (2006). “Democratic Governance and the Social Condition in the Caribbean,” in Governance and Democratic Development in Latin America and the Caribbean New York: United Nations Development Programme.
  2. ealth schemes, food subsidies, education, a national minimum wage, equal pay for women, rent and inflation control are social development projects being investigated in this study.
  3. To be discussed in appropriate case studies.
  4. Refer Watson, Hilbourne (2004). “Caribbean Integration under Global Neo-liberalism: Selected Issues in the West Indian Commission Report,” 21st Century Policy Review, vol. 2, no. 1-2 to understand the country’s unique socio-political landscape which highlights issues concerning its sovereignty. This will be further discussed and deliberated upon in this thesis.
  5. Refer Wint, Alvin (2004). “Jamaica in International Competition,” in Lino Briguglio and Gordon Cordina (eds). Competitiveness Strategies for Small States. Valletta and London: Island and Small States Institute and Commonwealth Secretariat for an in-depth perspective on why States should offset the impact of external agencies by roping in local influences.
  6. Refer Charles Price’s “What the Zeeks Uprising Reveals: Development Issues, Moral Economy and the Urban Lumpenproleteriat in Jamaica” (2006) to understand the main themes of progressive change in Jamaican society and consequently, the institutional set-up in the country.
  7. The reference of China and India has been made to understand the strength of their domestic institutions as applicable to Jamaica. All the same, it should be pointed out that Jamaica does not enjoy several advantages posed by larger nations: size, economic power and high degree of political autonomy.
  8. Also quoted in OED What Have We Learned? Some preliminary Lessons from OED’s Review of Country Assistance Evaluations over a Ten Year Period. September, 2004.
  9. Stiglitz, 2003.Globalization and its Discontents. New York: Norton, 2002. p.24
  10. Refer Best, Lloyd (2006). “Independence and Responsibility: Self-knowledge as an Imperative,” in Kari Levitt and Michael Witter (eds), The Critical Tradition of Caribbean Political Economy: The Legacy of George Beckford. Kingston: Ian Randle Publishers for the better understanding of the issues.
  11. The present dissertation focuses not on the Jamaican politics on the whole but on its specific aspects that will be discusses and analyzed further in the respective case studies.
  12. The author puts the topic of Jamaican governance in the context of globalization of the world and the modern economic situation.
  13. Refer Kaufmann, Daniel, Aart Kray and Massimo Mastruzzi (2005). “Government Matters IV: Governance Indicators for 1996-2004,” World Bank Policy Research Working Paper no. 3630. Washington, DC: World Bank.
  14. The topic is rather significant for the issues raised in the present dissertation that is why it is touched upon in several chapters and relates to the number of processes in Jamaica, like for example political system development.
  15. The extent to which the topic was covered in the research of other scholars is rather important for the purpose of objective establishment. Due to this, the review of the literature on the topic of Structural Adjustment Policies is necessary for the conduct of the current research. For more detailed information on SAPs refer Cox, Robert (2003). “Structural Issues of Global Governance: Implications for Europe,” in Stephen Gill (ed.), Gramsci, Historical Materialism and International Relations. Cambridge: Cambridge University Press.
  16. The detailed overview of the role of the Transnational Organizations, like International Monetary Fund and World Bank, in the positive and negative developments in Jamaica in the 1980s – 1990s will be presented in the chapters “Findings” and “Analysis”.
  17. Ibid.
  18. The following respective chapters of the present dissertation will disclose the implementation of these means in practice as well their effects in detail.
  19. This controversial but nevertheless proved argument was discussed by numerous scholars and will be examined closely at the chapter “Findings” of this dissertation. For more details refer Agreement between the Government of Jamaica and the Government of the United States of America Concerning Cooperation in Suppressing Illicit Maritime Drug Trafficking. (1997). Kingston, May, 6, 1997 and Memorandum of Understanding Between the Government of the United States of America and the Government of Jamaica. (1997). Kingston.
  20. Professor Joseph Stieglitz is the Nobel Prize winner and the ideas he expresses in his works are of great significance for this dissertation. Due to this, his paper is considered specially in the “Literature Review” chapter.
  21. The number of scholarly papers concerning the Shiprider Agreement with the United States is much larger than it is reflected in this dissertation but the scope of the present research and time given for it did not allow the researcher to process greater number of them.
  22. The primary sources present the main information about the agreement. For detailed information about the Shiprider Agreement refer the respective section in the chapter “Findings” of this dissertation and the Agreement between the Government of Jamaica and the Government of the United States of America Concerning Cooperation in Suppressing Illicit Maritime Drug Trafficking. (1997). Kingston, May, 6, 1997 and Memorandum of Understanding Between the Government of the United States of America and the Government of Jamaica. (1997). Kingston.
  23. The current issue is typical for the great many of the developing countries that have colonial or colonial-like past in America, Caribbean, Asia and Europe.
  24. Refer Leftwich, Adrian (2000). States of Development: On the Primacy of Politics in Development. Cambridge: Polity Press.
  25. Refer Evans, Peter B. (2005). Embedded Autonomy: States and Industrial Transformation. Princeton: Princeton University Press.
  26. For more detail refer Matveev, A.V., Rao, N., & Milter, R.G. (2001, November). Developing a scale to measure intercultural communication competence: A pilot study in multicultural organizations. Paper submitted to the International and Intercultural Communication Division of the National Communication Association, Atlanta, GA.
  27. Refer Brearley, D. (2003, September). The case study: Threat or opportunity? Counselor Education and Supervision, 33, 35-37.
  28. Refer Feagin, J., Orum, A., & Sjoberg, G. (Eds.), (2001). A case for case study. Chapel Hill, NC: University of North Carolina Press.
  29. For the detailed analysis of the research purpose achieving refer the respective chapter of the present dissertation.
  30. Ibid.
  31. The research tends to go from the narrow specific arguments and questions to the wider ones, and from specific to general.
  32. Refer Hamel, J., Dufour, S., & Fortin, D. (2003) Case study methods. Newbury Park, CA: Sage Publications.
  33. Ibid.
  34. Refer Hamel, J., Dufour, S., & Fortin, D. (2003) Case study methods. Newbury Park, CA: Sage Publications.
  35. This statement is the directory of the present dissertation and the following chapters will all be structured according to the selected method of case study.
  36. Refer Mitchell, J. (2000). Visible, vulnerable, and viable: Emerging perspectives of a minority professor. In K. Feldman & M. Paulsen (Eds.), Teaching and learning in the college classroom (pp. 383-390). Needham Heights, MA: Simon & Schuster Custom Publishing.
  37. The main objective of the current methodology is the conduct of the so-called cross-case examination, i. e. comparison of the inside and outside factors that affected both cases.
  38. Refer Matveev, A.V., Rao, N., & Milter, R.G. (2001, November). Developing a scale to measure intercultural communication competence: A pilot study in multicultural organizations. Paper submitted to the International and Intercultural Communication Division of the National Communication Association, Atlanta, GA.
  39. Ibid.
  40. Refer Smith M.J. (2001). Contemporary communication research methods. Belmont, CA: Wadsworth, Inc.
  41. This aspect of the case study method is rather important for the present dissertation because the topic of this research is rather difficult and actual truth can often be hidden even from the primary sources and the aim of the researcher is to disclose that truth.
  42. For more details on strong and weak points of the case study methodology and usage of qualitative data in research refer Matveev, A.V., Rao, N., & Milter, R.G. (2001, November). Developing a scale to measure intercultural communication competence: A pilot study in multicultural organizations. Paper submitted to the International and Intercultural Communication Division of the National Communication Association, Atlanta, GA.
  43. This point is not of great importance in democratic countries but the characteristic of all advantages and drawbacks of the method should be complete, so all the aspects of the case study method usage are considered in the respective chapter.
  44. For strong and weak points of the case study method refer Matveev, A.V., Rao, N., & Milter, R.G. (2001, November). Developing a scale to measure intercultural communication competence: A pilot study in multicultural organizations. Paper submitted to the International and Intercultural Communication Division of the National Communication Association, Atlanta, GA.
  45. Refer Duncan, Neville (2003). “Governance in Small Societies: The Importance of Strong Democracy,” in Kenneth. Hall and Denis Benn (eds).
  46. Ibid.
  47. Refer Giddens, A. (2004). In R. Yin’s Applications of case study research. Beverly Hills, CA: Sage Publishing.
  48. Refer Giddens, A. (2004). In R. Yin’s Applications of case study research. Beverly Hills, CA: Sage Publishing.
  49. “Literature Review” chapther presented the overview of the ideas expressed in other scholars’ works, but the instrument will be used not to overview them but to gather data so that to analyze them and answer the research questions.
  50. Refer Brearley, D. (2003, September). The case study: Threat or opportunity? Counselor Education and Supervision, 33, 35-37.
  51. Refer the respective chapter of the dissertation for more detail.
  52. Refer Hamel, J., Dufour, S., & Fortin, D. (2003). Case study methods. Newbury Park, CA: Sage Publications.
  53. Ibid.
  54. Refer Refer Hamel, J., Dufour, S., & Fortin, D. (2003). Case study methods. Newbury Park, CA: Sage Publications.
  55. Refer the Research questions and hypothesis. The present case studies reflect the topic of the whole disseratation.
  56. Refer Emmanuel, Patrick (2003). Governance and Democracy in the Commonwealth Caribbean: An Introduction. Bridgetown: ISER, University of the West Indies.
  57. Refer Gill, Stephen and David Law (2000). “Global Hegemony and the Structural Power of Capital,” International Studies Quarterly, vol. 33, no. 4 (December): 475-99.
  58. Refer Gill, Stephen and David Law (2000). “Global Hegemony and the Structural Power of Capital,” International Studies Quarterly, vol. 33, no. 4 (December): 475-99.
  59. The term was coined and developed by the famous scholar Grant who explored it in his papers. For more detail on the “industrialization by invitation” refer Grant, Cedric (2000). “An Experiment in Supra-National Governance: The Caribbean Regional Negotiating Machinery,” in Kenneth Hall and Denis Benn (eds). Contending with Destiny: The Caribbean in the 21st Century. Kingston: Ian Randle Publishers.
  60. Ibid.
  61. Refer Gill, Stephen and David Law (2000). “Global Hegemony and the Structural Power of Capital,” International Studies Quarterly, vol. 33, no. 4 (December): 475-99.
  62. Refer the purposes of the research and research methodology.
  63. Refer the respective chapters of the present dissertation. Such a structure of the paper is one of the basic requirements for dissertations.
  64. Refer Cox, Robert (2003). “Structural Issues of Global Governance: Implications for Europe,” in Stephen Gill (ed.), Gramsci, Historical Materialism and International Relations. Cambridge: Cambridge University Press.
  65. Refer Cox, Robert (2003). “Structural Issues of Global Governance: Implications for Europe,” in Stephen Gill (ed.), Gramsci, Historical Materialism and International Relations. Cambridge: Cambridge University Press.
  66. Refer Cox, Robert (2003). “Structural Issues of Global Governance: Implications for Europe,” in Stephen Gill (ed.), Gramsci, Historical Materialism and International Relations. Cambridge: Cambridge University Press.
  67. Refer Bovaird, Tony and Elke Loffler (2003). Public Management and Governance, London: Routledge.
  68. Ibid.
  69. Refer Bovaird, Tony and Elke Loffler (2003). Public Management and Governance, London: Routledge.
  70. Refer Kaufmann, Daniel, Aart Kray and Massimo Mastruzzi (2005). “Government Matters IV: Governance Indicators for 1996-2004,” World Bank Policy Research Working Paper no. 3630. Washington, DC: World Bank.
  71. Refer Lewis, Vaughan (2006). Managing Mature Regionalism: Regional Governance in the Caribbean Community, Report of the Technical Working Group on Governance appointed by CARICOM Heads of Government.
  72. For a more complete discussion on the construction and retentions of the colonial state, see post colonial literature such as Crawford Young.
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